HEALTH RISK MANAGEMENT, INC (CASE NUMBER 01-43354)
HRM CLAIM MANAGEMENT, INC (CASE NUMBER 01-43355)
INSTITUTE FOR HEALTHCARE QUALITY, INC. (CASE NUMBER 01-43356)
HEALTH BENEFIT REINSURANCE , INC (CASE NUMBER 01-43357)

STATEMENT OF CASH RECEIPTS AND DISBURSEMENTS
FOR THE PERIOD AUGUST 7 & AUGUST 31, 2001

							07-31-2001	08-31-2001	09-30-2001

CASH FLOW FROM OPERATING ACTIVITIES:
NET INCOME								241,154.14
ADJUSTMENTS TO RECONCILE NET INCOME TO NET CASH PORVIDED BY OPERATING ACTIVITIES:
						DEPRECIATION		204,886.00
						AMORTIZATION		375,263.00
					CHANGES IN OPERATING ASSETS AND LIABILITIES
				ACCOUNTS RECEIVABLE-NET				-531,927.02
				ACCRUED BILLINGS				177,305.87
			PREPAID EXPENSES					16,970.59
			ACCOUNTS PAYABLES					316,497.06
			ACCRUED PROFESSIONAL FEES					315,000.00
			ACCRUED EXPENSES					-27,757.54
		UNEARNED REVENUES						-17,068.07
		UNSECURED PRIORITY DEBT						-4,895.45
		UNSECURED DEBT						-994,339.30



NET CASH PROVIDED BY OPERATING ACTIVITIES							0.00	71,089.28	0.00

CASH FLOWS FROM INVESTING ACTIVITIES
	COMPUTER SOFTWARE COSTS CAPITALIZED							-99,000.00


CASH USED IN INVESTING ACTIVITIES							0.00	-99,000.00	0.00

CASH FLOWS FROM FINANCING ACTIVITIES
	PROCEEDS FROM NOTES PAYABLES							1,699,228.19
	PAYMENT OF SECURED DEBT							-2,071,213.25
	PRINCIPAL PAYMENTS ON CAPITAL LEASES							-76,977.94


NET CASH USED IN FINANCING ACTIVITIES							0.00	-448,963.00	0.00


NET DECREASE IN CASH							0.00	-476,873.72	0.00

CASH BEGINNING OF PERIOD								4,610.90

CASH END OF PERIOD							0.00	-472,262.82	0.00


COLLECTIONS OF ACCOUNTS RECEIVABLES
PRE-PETITION								2,022,805.44
POST-PETITION								429,091.83

CASH DISBURSEMENTS REORGANIZATION EXPENSES
PROFESSIONAL FEES								0.00
U.S. TRUSTEE QUARTERLY FEES								0.00
OTHER								18.00

	TOTAL						0.00	18.00	0.00

HEALTH RISK MANAGEMENT INC /MN/ 8-K